United & US Airways filing for Bankruptcy, should we still book for Xmas?

[lisag1]

Friends of ours are thinking of flying out before Christmas and have been quoted fares from both United (operated by BMI) and US Airways. With the current reports on them both filing for bankruptcy protection is it a good idea to continue booking flights with them in the coming months or should they carry on and support them?

Lisa

[WDWfan,uk]

Lisa, I'd hold on this - there should be some announcements made in the near future making the situation clearer.

[vernon]

I'd agree with Shirley, while filing for bankrupcy in the US is often done to protect the company while it restructures and doesn't effect it's solvency in the long run, it doesn't seem sensible that you commit yourself right this minute.

[Sue F UK]

We have our flights booked with US airways for Feb 2003 so were alarmed when news came through last week about them filing for Chapter 11 Bankruptcy protection. I was straight on to the travel agent who checked things out for me and came back to say that this was a precautionary measure to give them breathing space while they lined up new investors. This is common practice in the US and they can stay in Chapter 11 for up to two years. We have since read in the financial papers that there is a consortium of private investors prepared to put in $240 million into the company in order to turn it around.

While I am not sure if I would go out and book tickets with US at the present time I am still not panicking about my existing booking - it wouldn't do me any good anyway as, even if we wanted to cancel US are sticking to their standard cancellation policies.